Stock exchanges of the USA suffered the largest drop in 33 years

Stock exchanges of the USA suffered the largest drop in 33 years the Fall in the U.S. stock market accelerated after the statement of the President of the United States Donald trump that the situation with the spread of the coronavirus will not be able to take control until August Stock exchange, the US experienced the largest drop in 33 years
Moscow-Live.ru / Krylov Anton Drop in the U.S. stock market accelerated after the statement of the President of the United States Donald trump that the situation with the spread of the coronavirus will not be able to take control until August
The White House / Youtube.com

the Fall in the U.S. stock market accelerated after the statement of the President of the United States Donald trump about what is the situation with the spread of the coronavirus will not be able to take control before August. According to The Wall Street Journal.

the Index of blue chip Dow Jones Industrial Average collapsed by the closing of trading on 2997,10 points, or 13%, to 20188,52, which was the second worst day in the history of the index. And it is the sharpest fall over the last month. In 1987, October 19 went down in history as “black Monday.” Then the Dow Jones industrial average dropped a record 22.6 percent, the stock exchanges of Canada, Australia and other countries also reacted to the fall.

the S&P 500 Index fell by 30% from its peak reached less than a month ago, on 324,89 points, or 12%, to the level 2386,13. The Nasdaq Composite fell 970,28 points, or 12%, it finished trading at around 6904,59. The decline was the sharpest of the technological index in one day.

the Shares of the two largest by market value, American companies – Apple Inc. and Microsoft Corp. – fell in price by 12%. Badly hurt Bank stocks: Citigroup – a drop of 19%; Bank of America and JPMorgan – 15% each. Trading in the shares was halted for 15 minutes shortly after the opening, when the S&P 500 index fell more than 7%. This is the third suspension of trading in the last six trading sessions.

Edition called “amazing bright spots” the growth of quotations of the shares of the three companies. So, shares of American Airlines Group surged 11% after the news about the negotiations between the airlines and the government on the receipt of the $50 billion bailout. Shares of biotechcompanies Moderna grew by 24% following her statement on the testing of vaccines against coronavirus. Prices for paper manufacturer sanitary detergents Clorox rose 4.1 percent.

As noted by an analyst of the Japanese Finance Corporation Mizuho Vishnu Varathan, investors were encouraged by the decision of the Federal reserve system (FRS) that perform the functions of the Central Bank in the country to cut the rate to 0-0. 25% because of the risks arising on the background of the spread of coronavirus. According to him, which leads TASS, citing the Associated Press, “the most decisive measures” the fed “was not strong support for the market.” As reported by the journalists of the newspaper The Wall Street Journal, the President of the American investment company Caliber Financial Partners Patrick Healy, to calm the markets can now only decrease in the number of cases of infection with coronavirus.

As announced on Monday CNN, citing data from the Federal Centers for control and prevention of diseases of the U.S. and assessment of local authorities, the number of reported cases in the country of infection with the novel coronavirus was made 4008, died 70 people.

March 16, at a press conference the American President Donald trump, answering questions of journalists, said that the outbreak of coronavirus infection in the country will last till July-August. He added that such time is possible, if the authorities “will do their job and lower the mortality rate”. Trump expressed confidence that after the pandemic the situation at the market normalized. The Federal reserve on March 16 lowered the rate to 0.25% and announced the purchase of assets at $700 billion.